Fyffes has been the largest beneficiary of the European Union's singie market in bananas

WITH the exception of Guinness, few people think of Ireland when discussing world class multinational companies. But Fyffes Plc, the Irish fruit and vegetable company, is now the joint fourth largest banana trader in the world. It has a turnover of IR£.43 billion in 1996, a third f of this in bananas. It is of course still well behindthe big three - Chiquita, Dole, Del Monte - who control almost 80 per cent of the world's banana trade between them.
Fyffes has been the largest beneficiary of the European Union's (EU) single market in bananas. this regime introduced in 1993, was designed to implement twoEU objectives: to create a single market in banans (replacing the many different import regimes) and to honour the EU's commitment to provide a preferential trading arrangement for the African, caribben and Pacific countries with which the EU has a special (ex-colonial) relationship under the Lome agreement.
An import licensing arrangement of Byzantine complexity was the result. This arrangement has been found illegal by the World trade Organisation, following complaints by the US and latin American countries, and is in the process of being replaced. But Fyffes, as its largest beneficiary, has seen its market share in Europe rise significatly in the last four years.
Unlike the other main banana companies, whose reputation for union-busting is legendary, Fyffes has been seen as a much cleaner operator, with sympathies for small producers and ethical trade. This reputation came under attack two years ago in Belize, where bananas are one of the main export earners, and where Fyffes purchases andf exports the banana export crop.
The Belizen industry, was privatised in 1985. Today the 20 farms are owned by a handful of private owners. About 2,000 workers are employed, more than 90 per cent immigrates from Central American countries from which they had often been refugees from civil war. The result? An insecure, uprooted workforce, living in a foreign country and speaking a foreign language (english is often the only language of officialdom). In other words, a workforce ripe for exploitation by bad employers.
An accumulation of poor working conditions, bad housing, lack of running water, lack of health facilities, ill-treatment of women workers, overhead spraying of pesticides, chemical pollution of drinking water, led to the formation of the Banderas Unidas/United Banners Banana Workers' Union in May 1995.
Lack of progress in talks with the Banana Growers' Association led to a strike a month later. This resulted in reprisals from the police and military and the deportation of alleged 'trouble-market' to the Guatemalan border. Since most deportees were Houndurans, they were refused entry to Guatemala and returned to Brlize, suitably cowed.
Since then, the UBBWU, under the leadership of a remarkable woman, Marciana Funez, has continued to organise. The UBBWU is now a member of the Trade Union Congress of Belize and of the International Union of Foodworkers (IUF). The Coordination of Latin American Banana Workers' Union, representing banana workers throughout Central America, held its meeting in Belize in April 1997, and welcomed the UBBWU into membership, in a gesture of solidarity with the union.
But attemps to engage in meaningful discussions with the Labour Ministry and the Banana Growers' Association have met with virtually no success. Some progress was made in late 1996, when the Labour Commissioner adjudicated that the relevant unit for union recognition is the individual farm, not the industry as a whole (the employers' position). But the union remains unrecognised, while anti-union solidarista associations - denounced by the ILO - enjoy full employer support.
There has been progress on some issues. Fyffes have stated that they 'take no pride in children playing in pools of gramoxone' and have worked to improve the situation. The Housing situation has been improved considerably. Aerial spraying close to haouse has been virtually eliminated.
But union recognition remains unresolved. Fyffes have agreed to 'do business' with the union (providing the union can convince the company that it has reasonable support) but they continue to recognise a solidarista association. More generally, they stick to the position that they are not employers, but buy the crop from others, to whom such complaints should be directed.
But Fyffes can hardly wash their hands of responsability for the conditions of production of bananas which are sold under their name.
An official of the Irish Congress of Trade Unions visited Belize and expressed support for the UBBWU. Irish NGOs have also been active and 11 organisations now from the 'BananaWatch' coalition. The 30 european NGOs from 16 countries which from the European Banana Action Network (EUROBAN) have also given high priority to the Belize case. Importantly, the IUF has taken up the cae. A major conference on the future of sustainable banana production - involving banana workers and small farmers, as well as employers, importers, governments and NGOs - is planned for early May 1998.
The banana companies are coming under consumer pressure to clean up their act. 'Fair trade' labelled bananas, produced under independently monitored social and environmental conditions now account for 10 per cent of the Dutch market and 13 per cent of the Swiss. There is pressure on the banana companies to adopt a code of conduct for their dealings with developing countries, a code which includes adherence to minimum ILO criteria - including freedom of association and the right to collective bargaining.
What can you do? You can write to Fyffes, encouraging them to recognise the UBBWU and to adopt a code of practce which includes the rights to freedom of association and collective bargaining. Write to: P. Halpenny, Director, Fyffes plc, 1 Beresford Street, Dublin 7, Ireland.

For more information contact: EUROBAN, 17 Lower Camden Street, Dublin 2, Ireland, tel/fax: +353-1-475-3515

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